Exhibit 12
RAM Energy Resources, Inc.
Computation of Ratios of Earnings to Fixed Charges And Preferred Stock Dividends
| Nine Months Ended 30-Sep-09 | 2008 | 2007 | 2006 | 2005 | 2004 | |||||||||||||||||||
Earnings | ||||||||||||||||||||||||
Pretax income (loss) from continuing operations | $ | (71,171,000 | ) | $ | (221,636,000 | ) | $ | (9,102,000 | ) | $ | 6,513,000 | $ | 1,349,000 | $ | 9,809,000 | |||||||||
Add: | ||||||||||||||||||||||||
Fixed charges | 12,846,480 | 24,278,000 | 20,797,000 | 17,081,120 | 12,655,520 | 5,093,040 | ||||||||||||||||||
Amortization of interest capitalized | — | — | — | — | — | — | ||||||||||||||||||
Distributed income of equity investees | — | — | — | — | — | — | ||||||||||||||||||
Subtract: | ||||||||||||||||||||||||
Interest Capitalized | — | — | — | — | — | — | ||||||||||||||||||
Preference security dividend requirements | — | — | — | — | — | — | ||||||||||||||||||
of noncontrolling interest of pre-tax income | — | — | — | — | — | — | ||||||||||||||||||
Total Earnings | $ | (58,324,520 | ) | $ | (197,358,000 | ) | $ | 11,695,000 | $ | 23,594,120 | $ | 14,004,520 | $ | 14,902,040 | ||||||||||
Fixed Charges | ||||||||||||||||||||||||
Interest Expense—from face of financial statements | $ | 12,770,000 | $ | 24,182,000 | $ | 20,757,000 | $ | 17,050,000 | $ | 12,614,000 | $ | 5,070,000 | ||||||||||||
Interest Capitalized | — | — | — | — | — | — | ||||||||||||||||||
Amortized premiums, discounts and capitalized expenses for debt (a) | ||||||||||||||||||||||||
Estimate of interest expense within rental expense (b) | 76,480 | 96,000 | 40,000 | 31,120 | 41,520 | 23,040 | ||||||||||||||||||
Preference security dividend requirements | ||||||||||||||||||||||||
Total Fixed Charges | $ | 12,846,480 | $ | 24,278,000 | $ | 20,797,000 | $ | 17,081,120 | $ | 12,655,520 | $ | 5,093,040 | ||||||||||||
Ratio of Earnings to Fixed Charges | (4.54 | ) | (8.13 | ) | 0.56 | 1.38 | 1.11 | 2.93 | ||||||||||||||||
Preferred Stock Dividends | — | — | — | — | — | — | ||||||||||||||||||
Ratio of Earnings to Fixed Charges and Preferred Stock Dividends | (4.54 | ) | (8.13 | ) | 0.56 | 1.38 | 1.11 | 2.93 | ||||||||||||||||
Inadequate Earnings | $ | 71,171,000 | $ | 221,636,000 | ||||||||||||||||||||
(a) Included in interest expense from face of financial statements | ||||||||||||||||||||||||
(b) Interest Expense within Rental Expense | ||||||||||||||||||||||||
Rental Expense from footnotes to financial statements for annual periods | $ | 956,000 | $ | 1,200,000 | $ | 500,000 | $ | 389,000 | $ | 519,000 | $ | 288,000 | ||||||||||||
Assumed interest rate | 8 | % | 8 | % | 8 | % | 8 | % | 8 | % | 8 | % | ||||||||||||
Assumed interest expense within Rental Expense | $ | 76,480 | $ | 96,000 | $ | 40,000 | $ | 31,120 | $ | 41,520 | $ | 23,040 | ||||||||||||
